Ed Zollars, CPA <ezollar[at]mindspring.com> wrote:

- quote -

Wow, just when I was getting serious about starting efiling
next season. <g
MTW

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

MTW wrote:

- quote -

problem with IRS notices on paper filed returns wasn't
keypunch errors, but rather IRS computer programming errors
that generated bogus notices. I believe this illustrates my
point <grin> --and I find it amusing that it appears it
*only* affected efiled returns.

I kind of doubt we'll see the IRS trumpeting that fact
<grin> . However, the bad news is that this fiasco primarily
gives a black eye to the tax professional, since many
clients will believe the preparer "must have fouled up" to
generate this notice. What the IRS *should* (but probably
won't) do is to write a letter to each taxpayer that
received the bogus notice fessing up that this was their
error and not the fault of any other parties in the efile
process.

But then that would involve admitting to an error in the
efile system and, as we know, the IRS marketing types
believe efile has no errors which is what makes it such a
great system <grin> .

--
Ed Zollars, CPA
Phoenix, Arizona

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Frank S. Duke, Jr." <dukefs[at]one.net> wrote:

- quote -

I saw this message from IRS reproduced on a tax preparer
discussion list -

-----Original Message-----
From: QuickAlerts[at]irs.gov [mailto:QuickAlerts[at]irs.gov]
Sent: Wednesday, May 12, 2004 5:25 AM
Subject: Form 6251

Some taxpayers who e-filed their returns received a letter
from the IRS stating that information submitted with their
return indicated a Form 6251 should have been filed with the
tax return. If the taxpayer received this letter and is
certain that no adjustments are necessary, the taxpayer does
not have to respond to the letter. Clarifying instructions
have been issued to tax examiners on how to process an
e-filed return in this instance. No further unnecessary
letters regarding missing Forms 6251 will be issued to
taxpayers who e-filed their returns.

----------
This has been an IRS e-file QuickAlert

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Frank S. Duke, Jr. <dukefs[at]one.net> wrote:

- quote -

According to a comment in today's NATP electronic
newsletter, a number of erroneous 6251 notices were sent due
to a programming error and (ahem!) the IRS "...regrets any
adverse impact that may have been caused by this error."

This, from the people who think computerized filing is such
a great idea because it is allegedly ~error free~. Pardon me
while I "hurl." <g
MTW

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Frank S. Duke, Jr." <dukefs[at]one.net> wrote:

<SNIP
- quote -

<SNIP
- quote -

<SNIP
- quote -

I received a Quick Alerts notice from IRS about this issue.
The notices were sent in error on e-filed returns. The
notice said that they will not follow up on taxpayers who
receive the letter and do not respond to it.

Unfortunately, I do not have the Quick Alerts notice to pose
here.

Joel Berry, CPA
Sugar Land, Texas

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

- quote -

This has been acknowledged by the IRS as an error. It has
been corrected and taxpayers have been advised they can
ignore the notice if no 6251 was required.

Will

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Frank S. Duke, Jr." <dukefs[at]one.net> wrote:

- quote -

From: QuickAlerts[at]irs.gov

Sent: Wednesday, May 12, 2004 5:53 AM

Subject: Form 6251

Some taxpayers who e-filed their returns received a letter
from the IRS stating that information submitted with their
return indicated a Form 6251 should have been filed with the
tax return. If the taxpayer received this letter and is
certain that no adjustments are necessary, the taxpayer does
not have to respond to the letter. Clarifying instructions
have been issued to tax examiners on how to process an
e-filed return in this instance. No further unnecessary
letters regarding missing Forms 6251 will be issued to
taxpayers who e-filed their returns.

----------

This has been an IRS e-file QuickAlert

Barney Byrd

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Frank S. Duke, Jr. wrote:

- quote -

I think it is a trend--the same issue has arisen on the
California Society of CPAs tax discussion group (TaxTalk on
Yahoo Groups) and the Arizona Society of CPAs tax mailing
list. Also, so far it has appeared to primarily have
impacted efiled returns. That may be due to processing
speed (the paper letters will come later).

Interestingly, though, it goes against the theory that
efiling eliminates the letters due to "processing errors" by
the IRS since the return is prequalified. In all cases, the
IRS accepted the efiled return and *THEN* issued the letter.
In at least one case, the refund has been held up pending
receipt of the information.

This looks like, at best, an e-foulup <grin> --if the return
information means the IRS is going to ask for a 6251 then a)
the return should be rejected without one and b) the 6251
instructions need to be changed.

--
Ed Zollars, CPA
Phoenix, Arizona

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Frank S. Duke, Jr." <dukefs[at]one.net> wrote:

- quote -

We use GoSystem and had a similar request for one of our
clients that e-filed. We force 6251 to print all the time,
but don't know if it gets included in the electronic file if
the return meets the criteria for not filing it. Anyway, we
were wondering why we got the letter as well, since the
assumption is that the software would have submitted it if
it is was necessary.

--
Bruce E. Cobern, CPA
mailto:bec[at]pipeline.com

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Hopefully this is not some kind of trend. One of my
client's had his refund delayed by what seems lie a
completely irrational request for a form 6251. The return
was prepared with pro-Series and E-filed. No 6251 was
included because none was needed or indicated. It was an
MFJ with 2 children and usual deductions.

Client got a letter from the IRS asking for a form 6251. I
went back and rechecked the return and even the exception
conditions when a 6251 is needed in the absence of AMT. The
6251 in the ProSeries return clearly showed that the regular
tax was higher by over $1000. Nothing indicated a need for a
6251.

I called the hotline and faxed all the information to them.
Nobody there could find a reason why one was needed either.
Finally, I faxed all the information to the KC center that
had asked for it and it seemed to resolve the problem.

Has anybody else had any problems with requests for
unnecessary 6251s?

All freely provided advice guarantee correct or double your
money back

Frank S. Duke, Jr. CPA
Cincinnati, OH USA

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->